Alderon Iron Ore Engages BBA to Prepare PEA on New Kami Mine Concept

Alderon Iron Ore (TSX:ADV) announced an update on the rescoping process that it has been undertaking on the Kami Iron Ore Project located in Western Labrador.
As quoted in the press release:

The focus of the process has been to re-scope the capital and operating costs of the Kami Project in order to identify savings that have arisen from the current depressed state of the market and changes in ownership and management of assets in the Labrador Trough, the idling of the neighbouring Wabush Scully Mine (“Wabush”) and evaluating strategic alternatives for the Company.
Alderon’s strategic partner Hesteel Group Co. Ltd. (“Hesteel”) remains committed to the Kami Project and has been actively involved in the re-scoping process and provided its input on key elements. Hesteel recently changed its name from Hebei Iron & Steel Group Co. Ltd. to reflect its international
focus.
With respect to the current status of the Wabush Mine, since May 20, 2015 Wabush Mines and related subsidiaries and affiliates (the “Wabush CCAA Parties”) have been in proceedings under the Companies’ Creditors Arrangement Act (the “CCAA”). Based on filings in the CCAA proceedings, only four employees have been retained to assist in safeguarding the assets and no suitors have emerged that are willing to purchase the mine. Alderon on the other hand has a viable plan to utilize the Wabush Mine and ensure the future of the region by developing the Kami Project. Once the Kami Project moves into construction it will bring much needed construction jobs to the region, followed by years of employment once mining operations commence at the Kami Project

Click here for the full press release.